Additional capitalization of 27 banks is underway

Additional capitalization of 27 banks is underway

04/05/2017

In Ukraine, 27 of 60 largest banks, which were diagnosed by the National Bank in 2015-2016, continue the process of the capital increase. In general, as a result of the audit, it was discovered 39 banks in need of additional capitalization. 11 of them have completed the capital increase and another bank expects for approval of the coordination committee regulator.

All banks in Ukraine should have a minimum capital of about 200 million UAH by mid-July 2017. If financial institutions do not fulfill this requirement, they will be withdrawn from the market.

According to the memorandum between Ukraine and the International Monetary Fund, the diagnostics of other Ukrainian banks should be completed by the end of September this year at the latest. Based on the inspection results, banks will coordinate their plans with the National Bank of Ukraine regarding the restructuring by the end of 2017.